Rent to Own Eat Street Flats offers a unique and exciting way to enjoy the benefits of homeownership while working towards raising the equity needed to obtain traditional mortgage financing. “Rent to Own” is packed with incentives and features. Review the details of the program below or check out our FAQ for more details about Rent to Own at Eat Street Flats.

An innovative homeownership program

• Base rent is market-rate. Check and compare. You can get 12 or 18-month options to purchase the condominium while you live there.
• The "Equity Rent Sum" is equal to 20% of total rent payment. You get this as equity when you exercise your purchase option.
• No option fee! A "Lease2own" exclusive.
• You can exercise your option at any time, or extend for six more months, up to 18 months. No option extension fee.
• Seller provides an early conversion credit in the first 12 months. Sliding scale bonus follows your rent premium payments.
• Low cost title closing from Burnet Title.

How to "Lease2Own" at Eat Street Flats

• Take a tour of Eat Street Flats in the exciting Eat Street District of Minneapolis.  To contact a showing agent, complete and submit the form in the right hand column.
• Fill out a Lease2own application. A modest $50 credit and criminal background application fee will be charged which is non-refundable. A deposit of one month's rent is also due at time of application.
• Upon approval, sign a Lease2own lease agreement; pay an amount equal to one month's rent damage deposit per resident.
• Pay first months rent upon move-in to your new home.
• Build your equity while you live in your new home.
• Exercise the purchase option within 12 months, or extend your option to 18 months.
• Apply your equity rent sum to the purchase at closing.

Frequently Asked Questions

1. What is a "rent to own" purchase?

A rent-to-own program combines a lease with an option to purchase a condominium unit within a specified period at an agreed upon price. The consumer pays market rent which includes an equity rent sum that is credited to the purchase price at closing. If the purchase is not exercised, the buyer loses the equity rent sum.

2. What are the contract features of a rent to own purchase?

"Lease2own" at Eat Street Flats has four major provisions: a) The sale price; b) The base rent; c) the option period ; and d) the equity sum. These are set by the developer for specific units. Other rent-to-own programs also have an "option fee," equal to 1-3% of the purchase price. That fee is not in the Lease2own program.

3. Is the rent inflated?

The rent is market rate. The developer has set aside units for this specific program based on competitive rents. When you compare square footages, high quality finishes, low cost of utilities, washer/dryer in the units, amenities and closeness to downtown, you will find a great value at Eat Street Flats.

4. Is the purchase price inflated?

The purchase price is consistent with the current urban condo market. In fact, the market determines the price.

5. What other costs am I responsible for?

In most cases, the rent includes parking, storage locker, water, sewer, and sanitation and management costs. You are responsible for your own heat, air-conditioning, electric, telephone, cable TV and internet.

6. Who should consider a rent to own purchase?

The rent-to-own program offers homeownership to consumers with little cash or limited credit history. The consumer is working towards qualifying for the mortgage they need before the option period expires. During the option period, they have the opportunity to build/rebuild their credit and accumulate equity while living in a new condominium unit.

7. Can I extend my option?

Yes. The Lease2own program comes with an automatic six month extension for buyers who want to build up more equity. Additional six-month option lease extensions are negotiable, up to a total of eighteen months.

8. What if I don't convert to purchase?

The equity rent sum is forfeited, but you have no further obligation. There is no exit fee, lost option fee or other penalties. You simply return possession of the condominium unit to the developer in the condition you received it.

9. Where do I get the mortgage?

This is where the Lease to Loft© program really helps. The developer has negotiated mortgage options with some of the most competitive rates available for well qualified buyers. You are not obligated to use this feature of the program, but it is included in the package. Wells Fargo has recently secured FHA and VA Project Approval which means 3.5% down and forgiving guidelines. Now is a great time to secure a loan at a low interest rate

10. Are other incentives available?

Yes. Incentives are available on a sliding scale if you exercise your option before the expiration of the option. This is a feature unique to the Lease2own program. Ask a sales agent for details. Want to know more? Check out the The Mortgage Professor - a free consumer information web site by Author Jack M. Guttentag (Professor of Finance Emeritus at the Wharton School of the University of Pennsylvania). He is widely regarded as the "go-to information source" for new home buyers. The site has a complete profile on "lease to-own" programs. Go to: www.mtgprofessor.com. Click Table of contents and then click: "Lease to Own House Purchase."